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Real Madrid’s new £1bn+ kit deal with Adidas- how do the other clubs stack up?

February 9th, 2016 Leave a comment Go to comments

Real Madrid are on the verge of signing a record breaking £1b+ kit deal with Adidas that dwarfs all existing deals on the park. Real’s current contract with Adidas expires only in 2020, but they’ve managed to bring the German giants to the negotiating table a good four years in advance, and have agreed a deal worth 140 million euros per year (close to £107m) per year. Over ten seasons, that amounts to well over £1 billion.

How do Real’s rivals stack up? Manchester United’s £75m/year deal (also with Adidas, negotiated in 2014 & starting from 2015-16 season) now seems to pale in comparison. Before United’s deal with Adidas, Arsenal’s £30m/season contract with Puma was the biggest kit deal in UK football.

Real’s bitter rivals Barcelona are with Nike, and earn somewhere around £24m per season (30m euros +) . However that deal was agreed in the 2007-08 season, and you can be sure that Barca will be keen for a significant hike when the deal expires at the end of the 2017-18 season. If Messrs Messi, Suarez and Neymar are still at the Nou Camp come 2017-18, then the Blaugrana have some real bargaining power at their end.

Juventus switched to Adidas at the beginning of the 2015/16 season, and their deal is worth 139.5 million euros over six seasons (approximately 24 million euros per season)

Earlier this season (April 2015), German Bayern Munich extended their contract with Adidas till 2030. The original deal was till 2020 and Bayern negotiated a 10 year extension worth 90 million euros per season (the whole deal was worth a little over 900m euros). That was still lesser than United’s deal with Adidas, and there were some members on the Bayern board who went on record to say they were unhappy with the sportswear giant.

Liverpool get £25m/season from Warrior/New Balance, while Chelsea’s deal with Adidas (extended till 2023) is worth £30m a season.

To put it simply, Arsenal + Liverpool + Barcelona + Juventus’ existing deals = Real Madrid’s proposed deal

Quite staggering, isn’t it?- Los Blancos have topped Forbes’ annual football rich list for the last three seasons, and this will take them further away from the chasing pack.

We’ve made a little table detailing this information. EUR figures haven’t directly been converted to GBP because of exchange rate fluctuations.

One thing you can notice is that Adidas seem to be keen to tie up all the big clubs in their portfolio to long term deals. However they are also changing their strategy and letting go of several small clubs (Bayer Leverkusen and Schalke, to name a couple)

Nike, on the other hand, don’t have the same big name presence as Adidas. Barcelona and Man City are probably the biggest in their list, with PSG, Inter Milan, Roma and Atletico in the second tier.

Biggest kit deals in football (Footballkitnews.com)

How much do the big boys earn from their kit deals currently?
ClubValue in (EUR/GBP)Kit Partner
Manchester United£75m/yearAdidas
Arsenal £30m/yearPuma
Barcelona€30m/year (Euros)Nike
Juventus€24m/year (Euros)Adidas
Bayern Munich€90m/year (Euros)Adidas
Liverpool£25m/yearNew Balance
Chelsea£30m/yearAdidas
Real Madrid€140m/year (Euros)Adidas
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  1. Sean
    February 9th, 2016 at 10:42 | #1

    Football in going CRAZY with these kind of valuations. And then you have poor clubs who have to think a million times before spending 1/1000th of such amounts.

  2. Albert
    February 9th, 2016 at 11:33 | #2

    All that is going to happen is more & more clubs will go to the wall & yes football has been crazy for a long time but it is just getting out of control financially now that is all.

    For me there needs to be some kind of
    European Super league that would let clubss find there own level with playoffs to get in to the European super league but no dout people will shoot me down as a lot of people do not like the thought of change.

  3. Russel1311
    February 9th, 2016 at 22:13 | #3

    Football just has no connection with real life any more. I know progress will happen, but there used to be a time when half of most clubs’ teams were made up of local lads doing it for the love of the game, who would have played for free if they’d had to. The terraces were full of the kind of men who loved their club as much as their wives. Now it’s all £77 tickets and empty seats for the first five minutes of the second half, ten live games on tv every week, players who’d give up their international future to go and play in bloody China for a club they’d never heard of as long as they’re paid £200k a week, and fans becoming more and more disillusioned. Clubs don’t need supporters to survive any more, we’re definitely heading to a situation where the majority people will only watch games on tv, and they’re on tv so often no one gives a shit any more.

  4. Paulie
    February 11th, 2016 at 22:14 | #4

    @Albert

    That has nothing do do with a fear of change and everything to do with elitism.

  5. Albert
    February 16th, 2016 at 14:42 | #5

    Paulie there is nothing wrong with
    elitism as that is just a nother way of saying financialy sustainable & if a club can not be financialy sustainable it will just no longer exist or possibly find a lower level that it can be financialy sustainable at if that there for means going part time or amateur then that is there for the level that culb should be playing at in the first place simple as that.